At Davos, US Economist Explains What Will Make H-1B "Fantastic" For America

A change in the H-1B visa policy for highly skilled professionals from India under Trump 2.0 would be "fantastic" for the US as it needs them, American economist Kenneth Rogoff told NDTV at the World Economic Forum (WEF) meeting in Davos.

Tesla and SpaceX chief Elon Musk, who works closely with US President Donald Trump, favours H-1B visas while allies in his Republican Party have splintered over the policy.

"... I think it would be fantastic for the United States. I don't know if it's fantastic for India," Mr Rogoff told NDTV, referring to India's brain drain problem.

"And, you know, [Joe] Biden just seemed to follow Trump's policy on legal immigration. He didn't relax it at all. So, yes, we should have a much more relaxed policy on highly educated people who have a lot to contribute," Mr Rogoff, who's also a former chief economist of the International Monetary Fund (IMF), told NDTV.

Joe Biden took over as US President in January 2021 after four years of Trump 1.0.

"I'm not saying that there aren't people who have less education, who don't have a lot to contribute, but it should all be legal immigration, some rational system," Mr Rogoff added.

On Day 1 of his second term, President Trump made several important announcements including pardoning 1,500 people involved in the US Capitol riots in January 2021, and "returning millions of criminal aliens back to places from where they came".

"I think there are some people who shouldn't be pardoned. Probably a lot of them should be. The Democrats did a lot of lawfare in their period, and I think he is pulling back on some of it. But where people hurt someone or someone died, that's different," Mr Rogoff said.

He said the Joe Biden-Kamala Harris border policy was "insane."

"I've never heard anybody explain it to me," the economist said. "Legal immigration is great. But you know what? My graduate students who get a PhD, get an offer from a great university or a great job, can't stay because they can't get a green card. But if you come across the Mexican border illegally, and at least nine million people did, maybe 15 million people under Biden, it was no problem. That needs a realignment."

"In his first term, Trump cut back on both. Elon Musk seems to be persuading him that we need talented engineers from India and elsewhere. So it is a crisis on the southern border. That was the single craziest policy that Biden had. He [Trump] is not going to stop immigration. The border is huge. It was, I think, two million people cumulatively under him [Trump 1.0]. But certainly sending a message to try to slow it down," Mr Rogoff said.

On Identity Politics

On Trump's announcement that he recognises only two sexes - male, and female, Mr Rogoff agreed it was a step backward and "we have gone to another extreme."

"His extreme is also not acceptable. And I don't think most American people support that. I think most American people supported transgender rights. But it was taken to an extreme where they didn't. And so trying to find some middle ground. I don't know what he's really going to do," Mr Rogoff said.

"I don't think you can turn the clock back. But, you know, clearly he's saying things that are very hurtful to many people. And that's ugly and, you know, not welcome," he added.

The five-day meeting at Davos that began on Monday is exploring how to relaunch growth, harness new technologies and strengthen social and economic resilience, according to the World Economic Forum. The global meeting is seeing participation by nearly 3,000 leaders from over 130 countries, including 350 governmental leaders.

India's participation at Davos aims to strengthen partnerships, attract investment, and position the country as a global leader in sustainable development and technological innovation. India sent five Union ministers, three chief ministers, and ministers from several other states to the WEF this time.